If you’re a construction contractor, you’re probably always on the lookout for ways to grow your business (if you’re not growing, your stagnant). One effective way to do this is by using sub-contractors. You probably don’t know how to do everything, or at least don’t have the equipment and people to do everything. By utilizing sub-contractors, you can offer more services to clients, expand your capabilities, and take on larger and more complex projects. In this article, we’ll explore how a construction contractor can grow his business through the use of sub-contractors.

Hiring sub-contractors allows you to take on larger projects than you would be able to handle on your own. For example, if a contractor specializes in plumbing, but a client needs electrical work done as well, the contractor can hire an electrician sub-contractor to complete that part of the project. This allows the contractor to take on more work and offer more services without having to turn down jobs that are outside of his expertise.

Another benefit of using sub-contractors is that they can bring specialized skills and knowledge to a project. For example, a contractor who specializes in residential construction may not have the experience or equipment to handle commercial projects. By hiring a sub-contractor with commercial expertise, the contractor can take on these larger projects and offer more services to clients (licensing notwithstanding).

In addition, using sub-contractors can help a construction contractor to manage their workload more efficiently. Instead of having to hire and train new employees for every project, you can use sub-contractors who are already trained and experienced in their specific trade. This can save time and money on recruitment and training costs, and allow you to focus on managing the project as a whole.

Now that we understand the benefits of using sub-contractors, let’s explore how a construction contractor can use them to grow their business.

Firstly, a contractor can start by identifying the areas of their business that could benefit from the use of sub-contractors. For example, if a contractor specializes in carpentry, but doesn’t have the expertise or equipment to handle masonry work, they could hire a masonry sub-contractor to complete that part of the project. By identifying these areas, the contractor can start to build a network of sub-contractors that they can rely on for future projects.

Secondly, a contractor can start to build relationships with sub-contractors in their area. This can be done through networking events, trade shows, or even by reaching out to sub-contractors directly. Building these relationships can help the contractor to find reliable sub-contractors who they can trust to complete work to a high standard.

Once a contractor has built a network of reliable sub-contractors, he can start to promote his expanded capabilities to clients. For example, if a contractor has hired a sub-contractor to handle electrical work, he can promote himself as a one-stop-shop for clients who need both plumbing and electrical work done. This can help the contractor to win more business and offer more services to their clients.

Another way to grow a construction business through the use of sub-contractors is to take on larger and more complex projects. By hiring sub-contractors with specialized skills and knowledge, a contractor can take on projects that he wouldn’t be able to handle on his own. This can lead to higher profits and a better reputation within the industry.

However, it’s important to note that using sub-contractors does come with some risks. For example, if a sub-contractor doesn’t complete his work to a high standard, it can reflect poorly on your reputation. Additionally, managing sub-contractors can be time-consuming and require strong communication skills to ensure that everyone is on the same page.

To mitigate these risks, it’s important for contractors to carefully vet and choose their sub-contractors. This can involve checking references, reviewing previous work, and ensuring that the sub-contractor has the necessary licenses and insurance.

In conclusion, using sub-contractors can be a powerful tool for construction contractors looking to grow their business. By hiring sub-contractors, you can offer more services to your clients, expand your capabilities, and take on larger and more complex projects. However, it’s important to carefully vet and choose sub-contractors to ensure that they meet your standards and to minimize risks. By following these guidelines, a construction contractor can use sub-contractors to grow his business and achieve long-term success.

As a final bonus tip: use a system like ProfitDig to record your sub-contractors’ quotes for use your in your job bids. ProfitDig makes it easy to create professional job bids and track your job expenses. Try it today at www.ProfitDig.com.